The Valuation Class in the Accounting 1 View in Material Master is the main link between Material Master and Finance. This Valuation Class along with the combination of the transaction keys (BSX,WRX,GBB,PRD ) defined above determine the GL account during posting.

We can group together different materials with similar properties by valuation class. Eg Raw material,Finsihed Goods, Semi Finished. We can define the following assignments in customizing : All materials with same material type are assigned to just one valuation class.

Different materials with the same material type can be assigned to different valuation classes.
Materials with different material types are assigned to a single valuation class.


  1. Are there any business circumstances where you would want to allow "changing" of Valuation Class during MIGO posting in SAP (Goods Issue to Reservation etc)? What would the implications be from a reporting and financial perspective of allowing this (order, receive, store inventory with valuation class assigned to material master but change valuation class during goods issue)???


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